(California) Do I have 10 days to switch my insurance over if I trade in my car?

[michaelweiss]

Hi! I am trading in my Tesla Model Y for a Model X tomorrow. I have Tesla Insurance. I tried calling them all day today but was on hold and they closed at 3:30pm.

I called the Tesla Dealer and told them this, and they seemed to think it was no problem. They said you typically have a 10 day grace period.

I was wondering if that's true? I called AAA and they said to double check it with my insurance, but of course this whole thing became a problem because I can't /reach/ my insurance to switch out my car to my new one.

I'm not really sure what to do. I don't want to just hope this is true in-case its not and I get into an accident in my brand new car!

 

[surffisher]

@michaelweiss AAA was correct, the only person who can answer your question is your insurance company. Every company has different policies.

The place I work (not Tesla) has a 30 day period in most states, where if you purchase a new vehicle you’re covered under your policy, but you still have to backdate adding it to the purchase date.

If you have your full policy, including the legal language, you could try and read through it for an answer.

 

[michaelweiss]

@surffisher Thank you so much for replying. AAA was sooo sweet and helpful even when they knew I wasn't going to end up buying through them. I found this in my Tesla Insurance:

C. “Covered auto” means:

1. Any vehicle shown in the Declarations designated for operation principally upon public roads. This provision does not apply to:

a. A vehicle shown in the Declarations, after the ownership of that vehicle has been transferred to another person or organization other than another “family member” by you, a corporation of which you are the sole owner, or a “family member”.

b. A vehicle shown in the Declarations that you, a corporation of which you are the sole owner, or a “family member” have been leasing, after the leasing agreement has been terminated, unless ownership of that vehicle is transferred by the lessor, to you, a corporation of which you are the sole owner, or a “family member”.

1. Any of the following types of vehicles on the date you, or a corporation of which you are the sole owner, become the owner of a private passenger auto, a pickup, or van.

This provision applies only if:

a. you, or a corporation of which you are the sole owner, acquire the vehicle during the policy period;

b. you ask us to insure it within 30 days after you, or a corporation of which you are the sole owner, become the owner; and

c. with respect to a pickup or van, no other insurance policy provides coverage for that vehicle.

If the vehicle you, or a corporation of which you are the sole owner, acquire replaces one shown in the Declarations, it will have the same coverages as the vehicle it replaced. You must ask us to insure a replacement vehicle within 30 days only if:

1. you wish to add or continue Coverage for Damage to Your Auto; or
2. it is a pickup or van used in any “business” other than farming or ranching.

If the vehicle you, or a corporation of which you are the sole owner, acquire is in addition to any shown in the Declarations, it will have the broadest coverage we now provide for any vehicle shown in the Declarations.

1. Any auto you, or a corporation which you are the sole owner, do not own while used as a temporary substitute for any other vehicle described in this definition which is out of normal use because of its breakdown, repair, servicing, loss, or destruction.

D. “Diminution in value” means the actual or perceived loss in market or resale value which results from a direct and accidental loss.

Im definitely not a lawyer but im hoping that means im covered for 30 days too just like you said!

 

[surffisher]

@michaelweiss Based on that I would say you have 30 days to request coverage once you purchase the vehicle.

I would not recommend waiting the full 30 days, I’d suggest trying to call them tomorrow (most insurance companies with customer service lines are open on weekends). Or next week at the latest. Sometimes retroactive changes can mess up billing because they have less months to bill for the change (if there’s an increase).

 

[michaelweiss]

@surffisher ill do that thank you!!!

 

[loann]

@michaelweiss Your insurance company should be able to answer this friend